FAQ: Healthcare Triangle's Warrant Inducement Transaction and $1.63 Million Capital Raise

What is the main purpose of Healthcare Triangle’s announcement?

Healthcare Triangle announced a warrant inducement transaction where three existing accredited investors will exercise outstanding warrants to provide the company with approximately $1.63 million in gross proceeds, while receiving new warrants in return.

How much money is Healthcare Triangle raising through this transaction?

The company expects to receive approximately $1.63 million in gross cash proceeds from the immediate exercise of the existing warrants, excluding any future proceeds from the new warrants.

What are the key terms of the new warrants being issued?

The new warrants allow purchase of up to 812,775 shares of common stock at $3.00 per share, become exercisable after stockholder approval is obtained, and expire five years from the approval date.

How was the exercise price of the existing warrants changed?

The exercise price of the existing warrants was reduced from $20.92 to $2.00 per share to facilitate the immediate exercise by investors.

When is this transaction expected to occur?

The exercise of existing warrants and issuance of new warrants are expected to occur on October 2, 2025, with closing subject to customary closing conditions.

Who is involved in facilitating this transaction?

Three existing accredited investors are exercising the warrants, and WallachBeth Capital is acting as the sole placement agent for the warrant inducement transaction.

What is Healthcare Triangle’s business focus?

Healthcare Triangle provides digital transformation solutions for healthcare and life sciences organizations, specializing in cloud, security and compliance, data lifecycle management, healthcare interoperability, and clinical & business performance optimization.

How many shares are involved in this transaction?

The transaction involves 812,775 shares of common stock from the exercise of existing warrants, with new warrants issued for the same number of shares (812,775).

What conditions must be met for the new warrants to become exercisable?

The new warrants become exercisable only after stockholder approval of their exercise is obtained by the company.